Mixed news for road workers

Health insurance costs for retirees are going down as much as 35 percent under a change in plans approved by the Lenawee County Road Commission board on Dec. 5.

Insurance costs of active employees of the road commission, however, are expected to go up 8 percent starting Jan. 1, primarily because of a new 6 percent tax under the federal Affordable Care Act, said Scott Merillat, road commission managing director.

Changes in a Blue Cross Blue Shield supplemental plan to Medicare are reducing costs for retirees without reducing benefits, Merillat said. Insurance costs for the oldest retirees are reduced as much as $600 a month, he said.

“It’s a win-win,” Merillat said.

“We were lucky we didn’t hurt anybody, but we had to make some changes,” said road commissioner Robert Emery.

“We are doing what we can as a road commission to fulfill the promises that were made,” Emery said. “I don’t ever want to be accused of doing what they’re doing to retirees in Detroit.”

Merillat said road commission retirees were worried their health insurance benefits might be cut back when they were invited to a recent meeting to discuss proposed plan changes. The only changes are lower costs, he said.

The board voted 3-0 to approve the plan change for retirees. Cost reductions are estimated to total about $150,000 next year, Merillat said.